15M chart for the week provided for a very strong downward sloping trend with several touches during the week. This trend line was finally broken Thursday evening and the pair has moved into a potential consolidating ascending triangle pattern with horizontal resistance area around 1.3900 and an upward sloping bottom trend line (which will not confirm until a third touch).
From a weekly Fib perspective (from high on 9/29 at 4569 to low on 10/3 at 3702) the upper horizontal trend line of the pattern coincides with 23.6% retracement level.
Ascending triangles typically break up but can break down as well. Given the sharp drop this past week, there is room for some upside correction before the continuation of the downtrend. Look for confirming breaks up or down toward the apex of the triangle Sunday into Monday. 3881 could provide upward resistance from the low set back on 9/11. A break above this could see retracement further to 38.2% 15M Fib of 4033. A break down will still encounter strong support at 3666. A break below that could find support around 3319.
I typically trade the 15M and 4H and watch for trend changes on the 1M and 5M. I use the daily, weekly, and monthly for the longer term trend confirmation. I will be long from the bottom of this pattern and short from the top with 20-30 pip TSL for such a tight range and take profit on 5M and 15M indications of trend change. I don't chase the 1M.
From a weekly Fib perspective (from high on 9/29 at 4569 to low on 10/3 at 3702) the upper horizontal trend line of the pattern coincides with 23.6% retracement level.
Ascending triangles typically break up but can break down as well. Given the sharp drop this past week, there is room for some upside correction before the continuation of the downtrend. Look for confirming breaks up or down toward the apex of the triangle Sunday into Monday. 3881 could provide upward resistance from the low set back on 9/11. A break above this could see retracement further to 38.2% 15M Fib of 4033. A break down will still encounter strong support at 3666. A break below that could find support around 3319.
I typically trade the 15M and 4H and watch for trend changes on the 1M and 5M. I use the daily, weekly, and monthly for the longer term trend confirmation. I will be long from the bottom of this pattern and short from the top with 20-30 pip TSL for such a tight range and take profit on 5M and 15M indications of trend change. I don't chase the 1M.
Attached Image (click to enlarge)
This is so Certain as We will see the sun Risen Tomorrow, I hope so!
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I will do my Job, but I can share to you that I will prefer to Short until 1.3520 will be reached it!
